Prices of soybean in the benchmark market of Indore rose due to firm demand from stockists. Stockists are building inventory because of a likely fall in output this season due to concerns of crop damage in parts of Madhya Pradesh on the back of heavy rains.
In Indore, soybean was sold at 4,000 rupees per 100 kg, 10 rupees higher. Arrivals, however, were unchanged at 5,000 bags (1 bag = 100 kg). However, futures contracts of soybean on NCDEX were lower as new crop arrivals have increased manifold in the last few weeks. The December delivery contract on NCDEX was 1% lower at 3,975 rupees per 100 kg.
Soybean futures found support and remained pretty steady throughout, to finish fractionally mixed on Tuesday. Soybean meal was $1.70/ton higher at the close, with bean oil 39 points lower.
The USDA Crop Progress Report that was released this afternoon reported that national soybean harvest was right in line with trader expectations, listed at 85%.
Harvest averages 92% completion for the time of year, however harvest is only 2 percentage points behind last year’s pace. National bean harvest was up 10% on the week with great weather, although with the recent snow in most of the WCB that efficient pace may slow by next week’s report.
Soybean export inspections released this morning from the USDA, showed 48.929 mbu of soybeans for the week ending 11/07. That was just below the same week last year and 5.475 mbu less than last week. The MYTD accumulated export inspections for soybeans are 7.01% above 18/19’s pace.